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33766903
33766900

1883 Jonesboro Road, McDonough, GA 30253

MI
GA: 348971, CA: 01749093
Marcus & Millichap - Atlanta
Listed by Marcus & Millichap - Atlanta
$3,435,000
10 days on market
Updated 10 days ago

7 CAP New Construction NNN Restaurant at Henry Marketplace

Details
Property Type Retail
Sub Type QSR/Fast Food, Restaurant (+1)
Square Footage 8,400
Net Rentable (SqFt) 8,400
Units 1
Cap Rate 7%
NOI $240,408
Occupancy 100%
Tenancy Single
Brand/Tenant Hungry Station
Lease Type NNN
Lease Term 10.2
Lease Expiration 10/31/2034
Remaining Term 8.3
Rent Bumps Yes
Lease Options 2 x 5 Year
Pro-Forma Cap Rate 7.42%
Pro-Forma NOI $254,832
Price per SqFt $409
Year Built 2024
Acreage 0.950
Parking Spaces 7.74 per 1,000 sq ft
Investment Type Net Lease
Lease Commencement 09/01/2024
Ground Lease No

7 CAP - New Construction - NNN Restaurant @ Henry Marketplace - 6% Incr. Every 2 Yrs - High Sales

Marketing description

Hungry Station at Henry Marketplace features a newly constructed, freestanding 8,400 SF restaurant building completed in 2024. Strategically located within Henry Marketplace—a vibrant retail hub with over 200,000 square feet of freestanding and inline shopping—the property benefits from high visibility and robust customer traffic. Positioned just one block west of I-75 and across from Henry Town Center, which ranks in the top 15% of U.S. power centers with over 7.23 million annual visits, this location is surrounded by major retailers including Floor & Decor, Dick’s Sporting Goods, Best Buy, and Sam’s Club. This investment combines a strong tenant, favorable lease terms, and a strategic location in a high-growth market, making it an attractive and secure opportunity for investors seeking stable returns with upside potential.

Property Features and Construction: The property is a newly constructed, 8,400 SF freestanding building with a durable concrete block structure and an accentuated brick veneer exterior, ensuring long-term durability and minimal maintenance. This modern construction, completed in 2024, meets the highest standards for retail and restaurant spaces. Additional features include a dedicated patio space and abundant parking with cross-access, enhancing the property’s functionality and appeal for a high-traffic restaurant. These attributes make the property highly desirable, both for the current tenant and for future leasing opportunities.

Lease Structure and Tenant Profile: The property is secured by a 10-year NNN lease (8 remaining) to a multi-concept Japanese restaurant, offering investors a low-risk, predictable income stream. Under the NNN lease structure, the tenant is responsible for property taxes, insurance, and maintenance, minimizing the landlord’s operational involvement and financial exposure. The rent is set at an attractive $28 per square foot—well below market rates for new construction retail space—providing immediate value. Furthermore, the lease includes 6% rent increases every two years, ensuring steady income growth throughout the lease term. The tenant is an experienced operator with 10 units, and this marks their second location within Henry Marketplace, underscoring their confidence in the market. A full-term personal guarantee on the lease adds an extra layer of security for the investor. Since opening in September 2024, the restaurant has achieved high-volume sales and earned a 4.3-star rating from over 400 Google reviews, reflecting strong customer appeal and operational success. The tenant’s significant investment of over $1.5 million in the interior build-out—featuring a revolving sushi bar, ramen station, Mongolian grill and bar—demonstrates their long-term commitment to the location and enhances the property’s overall value.

Location and Market Advantages: The property’s location within Henry Marketplace offers unparalleled advantages. Henry Marketplace is a thriving retail destination with over 200,000 square feet of shopping, attracting a steady stream of customers. The immediate area is experiencing substantial residential growth, with over 1,000 Class A residential and single-family units recently completed or under construction within walking distance. This provides a built-in customer base and ensures consistent foot traffic for the restaurant. Across from the property is Henry Town Center, a top-tier power center with over 7.23 million visits per year, ranking in the top 15% of U.S. power centers. This proximity, combined with adjacency to major retailers such as Floor & Decor, Dick’s Sporting Goods, Best Buy, and Sam’s Club, creates significant synergy and further drives customer traffic to the area. The broader market context also supports the property’s long-term value. Located just one block west of I-75 and south of Atlanta, the area is part of a major logistical and distribution corridor experiencing explosive population and employment growth. This growth is driving demand for retail and dining options, positioning the property for continued success in a dynamic and expanding market.

The subject property offers investors a rare combination of a newly constructed, well-located property with a strong, experienced tenant and favorable lease terms. The NNN lease structure, below-market rent with built-in increases and the tenant’s significant investment in the space provide both immediate stability and long-term growth potential. Coupled with its prime location in a high-traffic retail hub and a rapidly growing market, this property represents a secure and attractive investment opportunity.

Investment highlights

  • New Construction - Freestanding 8,400 SF Building | 10 Year NNN Lease to Multi-Concept Asian Restaurant
  • 6% Rent Increases Every Two Years Throughout Lease Term | Well Below Market Rent for New Retail Construction - Only $28/SF
  • Experienced Gurantor and Operator - Second Restaurant Location within Henry Marketplace - Full Term Personal Guarantee on Lease
  • High Volume Sales + Robust Customer Traffic Since Opening in September 2024 | 4.3 of 5 Star Rating - 400+ Google Reviews
  • Over $1.5 Million Spent by Tenant on Interior Build-Out and Finish | Revolving Sushi, Ramen, Mongolian Grill & Bar
  • Accentuated Brick Veneer Exterior - Concrete Block Construction | Dedicated Patio Space | Abundant Parking Within Henry Marketplace - Collection of Over 200k+ SF of Freestanding & Inline Shopping Featuring Destination Retailers & Restaurants
  • Over 1,000+ Class A Residential and SFR Units Recently Completed or Under Construction In Immediate Walking Distance
  • Across from Henry Town Center - Ranked in Top 15% of Power Centers in U.S. with Over 7.23 Million Visits per Year
  • Synergy with Major Retailers + Walkable Residential | Adjacent to Floor & Decor, Dick's, Best Buy, Sam's Club
  • One Block West of I-75 - Just South of Atlanta | Explosive Population & Employment Growth - Major Logistical & Distribution Corridor

Listing Contacts

MI
GA: 348971, CA: 01749093
Marcus & Millichap - Atlanta
Listed by Marcus & Millichap - Atlanta

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Loan Amount
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Annual Cash Flow
$240,408.00
$20,034.00/mo

Valuation Metrics

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DSCR
7%
Cap Rate
7%
ROI

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Zoning

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